Canada’s Cargojet Airways acquires 25% stake in 21 Air

Cargojet Airways (W8, Hamilton, ON) has announced the acquisition of a 25% stake in North Carolina’s 21 Air (2I, Greensboro) to further expand the existing cross-border cargo partnership between the two carriers.

“This transaction is in line with Cargojet’s previously announced international growth strategy. This investment further demonstrates our ambition to build a more diversified and robust global footprint with strategic partnerships,” President and Chief Executive Ajay Virmani said.

The value of the investment was not disclosed. Cargojet Airways said earlier this year that it was looking for an opportunity to invest south of the border, although at that time it focused on finding a start-up cargo carrier. It also warned its pilots that it could move some of the jobs to the US over the newly adopted Canadian crew rest regulations.

Cargojet Airways currently operates nine B757-200(PCF)s, three B767-200(ERBDSF)s, four B767-300(ERBCF)s, and twelve B767-300(ERBDSF)s, the ch-aviation fleets advanced module shows. Earlier this year, it announced plans to add two B777-300(ER)(SF)s starting in 2023, with options for a further two in 2024, and raised CAD350.2 million Canadian dollars (USD273 million at the time) to finance the expansion. In turn, 21 Air operates a much more modest fleet of one B767-200(BDSF) and three -200(ERBDSF)s. Both of its -200(ERBDSF)s are dry leased from Cargojet Airways.

Both companies are privately held and do not disclose their current shareholding structure. While they operate for various logistics firms, including Amazon.com and DHL Express, they are not owned by any of them.